The products and services mentioned below were selected independent of sales and advertising. However, Don't Waste Your Money may receive a small commission from the purchase of any products or services through an affiliate link to the retailer's website.
Most rich and famous celebrities have no problem spending their money. Whether they live on their own private island, spring for extravagant engagement rings or donate their fortunes to a worthy cause, the uber-wealthy usually don’t have a problem figuring out what to do with their millions. In fact, a number of celebrities have managed to squander all their cash and have ended up broke.
However, one millionaire supermodel is so frugal that her accountants have told her to spend more money. Yep, Tyra Banks has an estimated net worth of $90 million, and said her accountants once told her she needed to be a little looser with her cash.
“I was always conservative. I was always more interested in experiences over things. Things didn’t make me happy. I saved, saved, saved. But I saved to a fault. About 15 years ago, my accountants pulled me aside, and they were like, ‘Tyra. You’re not spending money. Nothing. You’re just giving it away to the government. You need to spend some damn money!’ So we created something called the ‘F Account.’ Which was the ‘frivolous account.’ And I had a budget to spend frivolously for the year, every year. I needed that to feel safe,” Banks told Money.
Banks went on to say that the conversation resulted in her having a “private plane moment,” a period of time during which she spent more freely. She wasn’t entirely happy with her purchases, however and wishes that should would have invested in items that would appreciate in value, such as art.
The supermodel and entrepreneur is co-author of a new memoir, “Perfect Is Boring: 10 Things My Crazy, Fierce Mama Taught Me About Beauty, Booty, and Being a Boss,” in which she and her mother, Carolyn London, discuss their strategies for success in business and in life.
She also talked about some of the lessons she learned from her mom in the MONEY interview, including the importance of real estate. You can read the full interview, which we highly recommend on the MONEY website.
About the Author
Kate Streit lives in Chicago. She enjoys stand-up comedy, mystery novels, memoirs, summer and pumpkin spice anything. More.
